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Chapter 7 Mobile Commerce The Business of Time. Contents. What Is M-Commerce? Why Wireless? Critical Success Factors How Wireless Technology Is Employed Wireless LAN Wireless Application Protocol (WAP) Implications for Management. Introduction.

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Chapter 7 Mobile Commerce The Business of Time

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Presentation Transcript
  • What Is M-Commerce?
  • Why Wireless?
  • Critical Success Factors
  • How Wireless Technology Is Employed
  • Wireless LAN
  • Wireless Application Protocol (WAP)
  • Implications for Management
  • Wireless Technology is all things to all people
    • People are searching for ways to keep in touch with anyone, anywhere, at any time
  • In business wireless technology is necessary
  • The term wireless mean transmitting signals over radio waves instead of wires
  • It also mean data communication without physical attachments using
    • Microwave
    • Radio wave
    • infrared
  • Mobile phones are wireless
  • People use mobile to ( business )
    • Check e-mail
    • Shop on the Internet
  • Yet it is a problem doing business via mobile
    • Limited interface
    • technical problems
    • Security problems
  • Wireless networks are just effective as wired system
  • Wireless networks
    • Easy to install
    • Easy to operate
    • Eliminate the cost of cabling
mobile commerce overview
Mobile Commerce: Overview
  • Mobile commerce (m-commerce,

m-business)—anye-commerce done in a wireless environment, especially via the Internet

    • Can be done via the Internet, private communication lines, smart cards, etc.
    • Creates opportunity to deliver new services to existing customers and to attract new ones
what is m commerce
What Is M-Commerce?
  • M-commerce is the transmission of user data without wires
  • It also refers to business transactions and payments conducted in a non-PC-based environment
  • Focus on services and applications on the mobile phone is what m-commerce all about
  • Message from one person to another is not m-commerce
  • But message from ISP to a person is m-commerce
what is m commerce8
What Is M-Commerce?
  • M-commerce:- use of wireless devices to facilitate the sale of products and services, anytime, anywhere
  • M-commerce is not about selling products and services on a mobile devices, they are part of m-commerce
what is m commerce9
What Is M-Commerce?
  • The main categories are:
    • Information based
      • Searching web for information
      • Sending e-mail
    • Transaction services
      • Download information
      • Make purchases by a cellular phone
    • Location-centric
      • Personalized services that anticipate your purchases based on your location and data stored in your profile
m commerce and e commerce
m-commerce and e-commerce
  • Physical size (PC versus mobile device)
  • Bandwidth
  • PC-oriented e-commerce employs HTML technology while m-commerce and the wireless web use two distinct development languages wireless Mark-up language (WML) and Handheld Device Mark-up Language (HDML) which require different browser loaded into mobile phone
why wireless
Why Wireless?
  • It traces its roots to the invention of the radio back in 1894
  • Wireless networking makes it possible to connect two or more computers without the bulky cables, giving the benefits of a network with little or no labor
m commerce terminology
M-Commerce Terminology
  • Generations
    • 1G: 1979-1992 wireless technology
    • 2G: current wireless technology; mainly accommodates text
    • 2.5G: interim technology accommodates graphics
    • 3G: 3rd generation technology (2001-2005) supports rich media (video clips)
    • 4G: will provide faster multimedia display (2006-2010)
wireless technologies
Wireless Technologies
  • Wireless devices are small enough to easily carry or wear, have sufficient computing power to perform productive tasks and can communicate wirelessly with the Internet and other devices.
    • Include PDAs, cellular phones, smart phones.
    • Wireless Application Protocol (WAP) is the standard that enables wireless devices with tiny display screens, low bandwidth connections and minimal memory to access Web-based information and services.
wireless technologies14
Wireless Technologies
  • Microbrowsers are
    • Internet browsers with a small file size
    • can work within low-memory constraints of wireless devices and the low bandwidths of wireless networks.
  • Pager is a one-way, wireless messaging system; it alerts the user when it receives an incoming message.
terminology and standards
Terminology and Standards
  • GPS: Satellite-based Global Positioning System
  • PDA: Personal Digital Assistant—handheld wireless computer
  • SMS: Short Message Service
  • EMS: Enhanced Messaging Service
  • MMS: Multimedia Messaging Service
  • WAP: Wireless Application Protocol
  • Smartphones—Internet-enabled cell phones with attached applications
attributes of m commerce and its economic advantages
Attributes of M-Commerce and Its Economic Advantages
  • Mobility—users carry cell phones or other mobile devices
  • Broad reach—people can be reached at any time
  • Ubiquity—easier information access in real-time
  • Convenience—devices that store data and have Internet, intranet, extranet connections
  • Instant connectivity—easy and quick connection to Internet, intranets, other mobile devices, databases
  • Personalization—preparation of information for individual consumers
  • Localization of products and services—knowing where the user is located at any given time and match service to them
key limitations
Key Limitations

Wireless limitations address:

  • Distance
  • Speed
    • The speed of wireless network is one-ninth the speed of wired network
  • Crawling pornography
  • Security and security factors

Tracking users is the number one

privacy concern

critical success factors
Critical Success Factors

In m-commerce, four critical success factors need to be monitored:

  • Mobility
  • Personalization
  • Global standardization
  • Customer profiling
mobile computing infrastructure
Mobile Computing Infrastructure
  • Hardware
  • Cellular (mobile) phones
  • Attachable keyboard
  • PDAs
  • Interactive pagers
  • Other devices
    • Notebooks
    • Handhelds
    • Smartpads
  • Screenphones—a telephone equipped with color screen, keyboard, e-mail, and Internet capabilities
  • E-mail handhelds

Mobile Computing Infrastructure(cont.)

  • Unseen infrastructure requirements
    • Suitably configured wireless WAN modem
    • Web server with wireless support
    • Application or database server
    • Large enterprise application server
    • GPS locator used to determine the location of mobile computing device carrier
mobile computing infrastructure cont
Mobile Computing Infrastructure (cont.)
  • Software
    • Microbrowser
    • Mobile client operating system (OS)
    • Bluetooth—a chip technology that enables voice and data communications between wireless devices over short-range radio frequency (RF)
    • Mobile application user interface
    • Back-end legacy application software
    • Application middleware
    • Wireless middleware
mobile computing infrastructure cont24
Mobile Computing Infrastructure (cont.)
  • Networks and access
    • Wireless transmission media
      • Microwave
      • Satellites
      • Radio
      • Infrared
      • Cellular radio technology
    • Wireless systems
limitations of m commerce
Limitations of M-Commerce
  • Usability Problem
      • small size of mobile devices (screens, keyboards, etc)
      • limited storage capacity of devices
      • hard to browse sites
  • Technical Limitations
      • lack of a standardized security protocol
      • insufficient bandwidth
limitations of m commerce27
Limitations of M-Commerce
  • Technical Limitations…
      • transmission and power consumption limitations
        • poor reception in tunnels and certain buildings
        • multipath interference, weather, and terrain problems and distance-limited connections
  • WAP Limitations
      • Speed
      • Cost
      • Accessibility
limiting technological factors
Limiting technological factors
  • Networks
  • Bandwidth
  • Interoperability
  • Cell Range
  • Roaming
  • Mobile Middleware
  • Standards
  • Distribution
  • Localisation
  • Upgrade of Network
  • Upgrade of Mobile
  • Devices
  • Precision
  • Mobile Devices
  • Battery
  • Memory
  • CPU
  • Display Size
  • Security
  • Mobile Device
  • Network
  • Gateway